Independent reference. UK figures verified 21 June 2026. No vendor affiliation.
Statutory

DIY Housebuilders Scheme (VAT431NB)

The DIY route lets self-managed KDR projects reclaim VAT paid on materials. Apply via VAT431NB within 6 months of completion certificate. Materials qualify; professional fees, plant hire, and most furniture do not.

Oliver Wakefield-Smith · Updated 21 June 2026 · Reviewed against VAT431NB form + notes, VAT Notice 708 chapter 7, gov.uk VAT new home

Contractor route vs DIY route

If a single main contractor is engaged on a labour-and-materials basis, the contractor invoices at 0% under VAT Notice 708 chapter 3 and the homeowner pays no VAT in the first place[HMRC 708]. The DIY route is for self-managed projects where the homeowner buys materials directly and pays VAT at point-of-sale, then reclaims after completion via VAT431NB[VAT431NB].

The 6-month claim window

The claim must be submitted to HMRC within 6 months of the completion certificate date (typically issued by the building-control body on final sign-off). Late claims are refused. Set a calendar reminder at handover.

What qualifies

Building materials physically incorporated into the dwelling: bricks, blocks, insulation, plaster, timber, fixed kitchens, sanitaryware, boilers, integral white goods, fixed flooring, paint, fixed lighting. Solar panels and battery storage qualify when physically incorporated.

What does not qualify

Professional fees (architect, SE, surveyor); plant hire; freestanding white goods, fitted carpets in some cases, garden furniture, external soft landscaping. Note: this is the area most claims trip up. Read VAT Notice 708 chapter 11 (DIY claims) carefully.

Documentation HMRC requires

Completion certificate; planning permission; all original VAT invoices in date order with VAT numbers visible; signed VAT431NB form; bank details. Allow 6-12 weeks for HMRC to process and pay the reclaim.

Primary sources

Next decisions